CoxHealth’s operating income climbs 2.4%, net income dips 51%

Springfield, Mo.-based CoxHealth saw operating income and revenue increase in the fourth quarter of 2018, but the system ended the period with lower net income.

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CoxHealth posted operating income of $38.6 million in the quarter ended Sept. 30, up 2.4 percent from $37.7 million in the same period a year prior, according to financial documents.   

The six-hospital nonprofit system saw operating revenue climb 4.3 percent year over year, from $1.3 billion to $1.4 billion. The growth is partially attributed to net patient service revenue, which increased 4 percent to $1.3 billion in the fourth quarter of 2018, compared to the same period a year prior.

At the same time, CoxHealth saw operating expenses climb 4.3 percent year over year to $1.3 billion. Increases in salaries and wages, supplies and interest expense contributed to the growth.

After factoring in nonoperating income and expenses, including a defined benefit pension plan settlement charge, the system ended the fourth quarter of 2018 with net income of $36.9 million, down 51 percent from net income of $75.3 million in the same period a year prior. CoxHealth said net income dipped due to lower investment earnings and the noncash pension settlement charge.

 

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